Answer:
A
Explanation:
One of the responsibilities of a financial manager is to direct investment activities towards increasing the market value of an organization and also support the long term financial goal of the firm.
In as much as the financial manager is expected to act in the best interest of the shareholders , he should not be bias towards them in carrying out his responsibilities,
Therefore , the best option of the given alternatives in the scenario is the he should work towards increasing the market value by investing in real assets.
<u>Answer:</u> Option 1
<u>Explanation:</u>
If the convertible bonds are issued at discount then it will increase the numerator. Convertible bonds yields a fixed interest income. When the convertible bonds are issued at a discount then they can be converted into shares and discount is considered in the purchasing price of the stock.
In amortized bond the each payment goes towards the interest as well as the principle amount. Amortization reduces the credit risk as the principle is repaid on maturity or on default of the firm.
The appropriate response is Daily Compounding. Progressive accrual is the expansion important to the key total of an advance or store, or as it were, enthusiasm on intrigue. It is the aftereffect of reinvesting premium, instead of paying it out, so that enthusiasm for the following time frame is then earned on the chief total in addition to the already gathered premium.
Answer:
1. The mandatory retirement age in Wonkaland is abolished.
- INCREASE IN THE LONG RUN AGGREGATE SUPPLY CURVE: greater use of labor
2. Wonkaland's main export is candy. Candy from this country increases in popularity as consumers all over the world want to buy Wonkalandian candy.
- NO CHANGE IN THE LONG RUN AGGREGATE SUPPLY CURVE
3. Since candy from Wonkaland has become an international sensation, factories in Wonkaland double the number of candy making machines.
- INCREASE IN THE LONG RUN AGGREGATE SUPPLY CURVE: greater use of capital investments
4. The top candy companies in Wonkaland chose to relocate their means of production to other countries around the world.
- DECREASE IN THE LONG RUN AGGREGATE SUPPLY CURVE: lower use of capital investments
Explanation:
The long run aggregate supply curve is only affected by changes in capital, labor and technology. If the use of these factors increases, the LRAS curve will increase, if their use decreases, then the LRAS curve decreases.
